Sierra Madre Amends Acquisition Agreement with First Majestic Silver
Sierra Madre Gold and Silver Ltd. has entered into an amended agreement with First Majestic Silver Corp. regarding the acquisition of the La Guitarra silver-gold property in Mexico. The transaction is expected to close by year-end.
Sierra Madre Gold and Silver Ltd. announced on November 2, 2022, that it has executed an amended and restated share purchase agreement with First Majestic Silver Corp. This agreement pertains to the previously announced acquisition of a 100% interest in the La Guitarra silver-gold property in Mexico, located in the Temascaltepec mining district.
The amended terms stipulate that a 2% net smelter returns royalty on the La Guitarra property will be granted to First Majestic prior to the transaction's closing. Additionally, certain governmental approvals will be required to finalize the deal. All other significant terms of the acquisition remain unchanged.
The company anticipates completing the transaction by the end of 2022. The La Guitarra property spans 39,714 hectares. Sierra Madre is currently focused on acquiring, exploring, and developing the Tepic and La Tigra properties in Nayarit, Mexico.
Sierra Madre's management team has a history of success in Mexico's mining sector, focusing on project discovery, advancement, and monetization. The company's objective is to advance exploration activities at its Tepic and La Tigra properties to ascertain the presence of commercially viable precious or base metal deposits.